1
PROMISING ETHIC ISSUES AND COMPETITIVE
ADVANTAGE OF HIGHER EDUCATION
Prihartono & M. Fadhil NurdinABSTRACT
This paper is the first to explore the promising ethic issues and competitive advantage of the Polytechnic as a higher education. Promising ethic issues based on research in service marketing triangle context in the Polytechnic can be met if performance improves product attributes and implements promotion mix as well. Promises ethics of the Polytechnic can be achieved optimally and be given the implications for competitive advantage of the Polytechnic. The purpose of this study was to analyze and determine the influence of product attributes and promotion mix on promises ethics in service marketing triangle and its implications on competitive advantage of the polytechnic in West Java and Banten, Indonesia. The results in this studies, show that: (1) Product attributes, promotions mix, promises ethics in service marketing triangle context and competitive advantage of the Polytechnic in West Java and Banten are categorized as good; (2) Product attributes and promotion mix influence on promises ethics in service marketing triangle context of the Polytechnic; (3) Product attributes and promotion mix influence on the competitive advantage of the Polytechnic; (4) Promises ethics in service marketing triangle context influence on competitive advantage of the Polytechnic; (5) Product attributes and promotion mix through promises ethics in service marketing triangle context influence on competitive advantage of the Polytechnic. However, based on this study, the arguing issues that institution of higher education can increase their competitive advantage as a result of a stronger are created from a based view of the management strategy. Secondary issue based on data resources that could be used for testing by managers and academicians are identified, and to create a potential advantage for future higher education in regional and global collaboration.
Key Words: promising ethic issues, competitive advantage, polytechnic as a higher education.
INTRODUCTION
Conceptually, in the present age the era of ethics, promises ethics is widely discussed and
stirred phenomenon in development and social science discourses today. Promises ethics
can used by many professionals. The promises ethicsguides by placing a focus on human
behavior and contractual with other professionals whose job duties affect others’ lives
usually receive, as part of their formal training, courses that address ethical issues common
to their professions. In many countries, promising ethic issues and competitive advantage
of the Polytechnic as a higher education, suggests that social consciousness, if not
conscience, has awakened to the questions of ethics. However, the promising ethical issues
in higher education, polytechnic or college teaching as part of human ethics in regional and
2 attributes and promotion mix on the promises ethics and its implications on competitive
advantage of higher education (A Survey on the Perception of Polytechnic Students in
Kopertis Region IV of West Java and Banten, Indonesia).
Background of Study
The condition of higher education (PT) in Indonesia is currently facing competition not only
local, but also regional and global competition. Globalization has led to competition for
educational institutions that is not only local or regional, but also international. Global
competition impacts in the education sector, one of the internationalization of higher education,
which is manifested through the four forms, namely: (1) the opening of branches of universities in
other countries (like the class extension), for example, American universities to open a branch in
Asia; (2), the cooperation between the universities of the country with universities in other
countries that offer degree programs, (3) lecture remotely through both print and virtual media
over the internet. A number of leading universities in the United States, Europe, and Australia
offers degree programs through this model, and (4), the comparative study of the quality of higher
education that produces college ranking compared to some other college. The global competition
will inevitably be faced by universities in Indonesia, both public and private.
Competitive conditions also occurred in West Java and Banten. Of the total number of new admissions
were captured as many as 363,198 students nationally, and for West Java-Banten region, it is received
only 52 605 students outside the college admissions lane country. With this amount, any program of
study (study program) can only obtain 20 new students. The amount per study program is the average.
The facts is, there is a study program at a private university (PTS) can acquire new students up to
hundreds or even thousands of people, or vice versa, there is a study program that only 2-5 people
interested new students (Directorate General of Higher Education Ministry of
National Education, 2011).
Competition faced by the private universities will be heavier and tighter. Currently in Indonesia there
are about 3147 colleges with 15,819 courses. Of these, as many as 15.6% or 491 colleges located in
West Java and Banten. With that number, West Java has the highest number of colleges in Indonesia.
Recent data, in 2010, of 115 private college (PTS) in West Java - Banten nearly 40% of them in an
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Competitive advantageto beowned by polytechnicsshould be tailored tothe potential andvariety of its resources. The abilityto generatesuperior value thatis deemedworthy to polytechnicbelieved in vocationaleducation. Vocational education programs believed tobe an optionto boost theskills and practical skills according to related field; benefits, quality, product-specific attributes, events product use, the position of the competitor's product and product class classification. However, the promotion mix should also be managed properly in order toachievethe expected target. The phenomenon ofthe use of the promotion as part of the marketing strategy in polytechnic colleges in particular lately,
progressively increased withthe installation ofbannerson campus,and evenin the streets ofstrategic,
advertisements in newspapers, radio advertising, putting up posters, sending fliers to the address of
prospective students, put leaflets in places frequented bythe public andso on.
Thus, referring to the need to know the position of ethics in service marketing triangle context, the identification ofempiricalsupportforthe general theoryof marketingethicsandethicalphenomenon,
product attributes and the promotion mix, and competitive advantage on polytechnic education programs, research needs tobe done to clarifythe relationship betweenthese aspects. However, the promises ethics in service marketing as part of philosophy and human ethics of business and
development.
Literature Review
Grand Theory used in this study is the theory of consumer behavior. Schiffman and Kanuk (2000)
argue that consumer behavior is an individual activity in finding information, purchasing, using
something, evaluating against products and services in the hope of satisfying his desire. The essence of
consumer behavior includes two elements, namely (1) the decision making process (decision process)
and (2) the act or physical activity. Everything involves individuals in assessing, acquiring and
using goods and services. Middle Range Theory or the theory used in this study is the theory of
Strategic Marketing for educational services with the applicable theories (Applied Theory) relating to services marketing mix theory, the theory of competitive advantage, and the theory of marketing
ethics. According to Kotler and Fox in Strategic Marketing for Educational Institutions (2000:5),
educational institutions realize that they have a lot of marketing issues, ranging from the declining
number of students who enroll, small grants for education and other sources of income, while
operating costs continue to rise. It is reminded that the educational institutions are also thinking about
the reliance on markets where they are. Many educational institutions are in the face of changing
expectations and needs of students, while increasing competition to acquire new students and new
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The results which are relevant to the performance of product attributes can be summarized as follows:
(1) Iversen (2002) concludes that one way to achieve competitive advantage is by continuing to
produce and elaborate synergies between the assets and facilities owned by the company, because the
use of assets provides efficiency, when the company has different products with competitors' assets, it
will be different, (2) Broun (2006), concludes that the differentiation of the packaging gives a unique
impression on the product, (3) Raduan and Haslinda (2009) concludes that organizational capabilities
include Informational, product development, relationship building associated with competitive
advantage, (4) Yusuf Abdullah (2011), concludes that the product strategy and value creation affect
competitive advantage. Product attributes in this study is the overall product or item that is offered by
the seller, in this case, polytechnic, to be noticed, requested, sought, bought, used, or consumed in the
market in terms of students as the fulfillment of a need or desire of the relevant market , it is seen from
the 6 (six) dimensions, namely: (1) Product benefits including: accuracy benefits according to need,
peculiarities of benefits, and the benefits diversity, (2) Quality of products including: high-quality
products, products that are free of defects, and guarantees of quality consistency, (3) Specific product
attributes, including: facility compliance with the basic nature of the product, complete facilities, and
compliance of facilities benefits with an additional fee, (4) Current use of the product, including: the
accuracy of the event use of the product; (5) The position of products towards the competitor
including: the relative accuracy of the product compared to competitors, and (6) Classification of
products class, including: product accuracy with the classification of product class (Kotler and Keller,
2009; Aaker and McLoughlin, 2010).
The process of promotion mix that utilizes all forms of promotion to create maximum impact. As with
any study of Schultz, Tannenbaum and Lauterborn (Alma, 2011) and Jeans (Alma, 2011), the primary
emphasis of this study is the understanding and the use of communication tools in a holistic manner.
The study by Kotler and Keller (2009) reveals that promotion mix as a concept that underlies the
company's efforts to integrate and coordinate the various channels of communication carefully in order
to deliver a clear, consistent and persuasive about the organization and its products. Kotler's study is
used as an indicator of advertising, public relations, personal selling, sales promotion, direct
marketing, and online marketing.
Promises, in the view of the promises ethics, are a specific obligation that forms engagement with
other parties who receive the promises. This engagement morally raises obligation that the promises
made by others should be kept. Berry stressed that the basis for maintaining relationship in services is
the promises that has been made to the customer. For service providers it has implications for the three
activities namely make unrealistic promises, keep and fulfill the promises at the time of the delivery
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promises (Bitner, 1995). The three important marketing activities to do the efforts are external
marketing, interactive marketing, and internal marketing. The concept shows a linkage group that work
together to develop, promote and deliver services that are referred to as key actors.
Source: Valerie A. Zeithaml dan Mary Jo Bitner. 2000. p 16 (adapted)
Figure 1: Service Marketing Triangle
Various studies relevant to the promises ethics can be summarized as follows: (1) Binter
(1995) concludes that the activities of the company to attempt to meet promises has been
given to the customer has something to do with the skills, abilities, motivation and system, (2)
AMA (2004) concludes that the commitment of providers ethics in delivering the promises
and sense of responsibility effect on the willingness to fulfill the promises, (3) Schwepker,
(2005) concludes that honesty is a part of fairness and openness, and communicating it
properly with the aim of creating trust for the other party, (4) Bertland (2009 ) asserts that
ethical policies relating to the development of ethics in the organization that enable
organizations to carry out their responsibilities, (5) Taufani (2010) concludes that the most
important ethical aspects that play a role in making promises is the clarity in the promises
delivery. The most important ethical aspects that play a role in enabling the most promises is
the seriousness and responsibility of MM (Magister Management) program in providing
the system for students. Here is the compiled research paradigm:
Making Promisess
COMPANY
Internal Marketing
Enabling Promisess
Interactive Marketing
EMPLOYEE CUSTOMER
External Marketing
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Figure 2 Research Paradigm
Methods
This research is descriptive and verification conducted in 2011 to students in polytechnics in
Kopertis Region IV of West Java and Banten. The unit of analysis in this study was the
students of the polytechnic in Kopertis Region IV of West Java and Banten. In this study, it
was used a range of time (time horizon) which was one shoot with the type of cross-section
data. The descriptive hypotheses test used Weighted Mean Score / WMS. In the verification
study with the approach in modeling and solution techniques to be used as a tool of analysis
was a method of Structural Equation Modeling (SEM) based on a variant or a component,
namely the Partial Least Square (PLS).
The data and information in order to uncover the full number of variables was completed with
the concept, dimension, indicators, measures, and measurement scales. The main study
variables (Latent Variable) are: (1) The independent variable, which is the variable of product
attributes and the promotion mix, (2) The dependent variable, which is the variable of
competitive advantage of the polytechnic, (3) an intervening variable, namely promises ethics
in service marketing triangle context. The indicator and measure used in this study was ordinal
measurement scales 1 through 5.
The population in this study is the overall characteristics of the study variables perceived by
7 observation is the active students at the private polytechnic in Kopertis Region IV of West
Java and Banten. The sample size was determined in accordance with the number of samples
required for the variant or component-based structural equation model (Structural Equation
Model / SEM), namely Partial Least Square (PLS). The sampling method used is proportional
Simple Cluster Random Sampling Method (Cochran, 2010) to all students of a private
polytechnic as the population unit. From the results of these calculations, the sample size in
this study is 385 respondents. The data obtained from the questionnaire spreading and the
secondary data collection was carried out in 4 steps, namely coding, editing, processing the
data and then analyzing the data. The data from the questionnaire spreading which is as a
measure of the research variables was obtained from the answers score having ordinal level of
measurement. For the descriptive analyzes, it was used Weighted Mean Score, with the aim to
describe each respondent's answer to the question which is determined from each variable
studied. Weighted mean scores was obtained from the following formula:
WMS =
(Source: Adoption of Murray & Stephens, 2007:49)
where:
WMS = Weighted Mean Score, which is the average of value weighted results, obtained from the ratio of total actual score with the total ideal score.
AS = Actual Score, which is the total score obtained from multiplying the number of respondents, the number of questions, and the scores achieved by respondents
IS = Ideal Score, which is the score obtained from multiplying the number of respondents, the number of questions, and the maximum score for each question.
Research Findings
Based on the results of research, discussion and problem solving, it can be concluded as
follows:
1. The picture of product attributes, promotion mix, promises ethics in service marketing triangle context, and competitive advantage of the polytechnic in Kopertis Region IV of West Java and Banten is categorized as good.
2. Product attributes and promotional mix have a significant influence on promises ethics in service marketing triangle context in the Polytechnic in Kopertis Region IV of West Java and Banten (for 67.41%) and it is in the high category.
8 4. Promises ethics in the context of service marketing service directly influence the competitive advantage of the Polytechnic in Kopertis Region IV of West Java and Banten (66.75 %) which is categorized as high.
5. Product attributes and promotion mix through promises ethics significantly influence on the competitive advantage of the Polytechnic in Kopertis Region IV of West Java and Banten (for 33.22%) which is in low category.
Based on research findings, the promising ethic issues and competitive advantage of the
Polytechnic as a higher education in service marketing triangle context in the Polytechnic can
be met if performance improves product attributes and implements promotion mix as well.
PROMISING ETHIC ISSUES
Achieving Higher Education thru Regional and Global Collaboration
Globalization has led to competition for educational institutions that is not only local or
regional, but also international. Higher education collaboration is characterized by mutual
understanding and consensual decision-making resulting in creative solutions that are
enhanced and altered from those that any team member would produce independently, and by
common action. The collaborative process has been described from a number of perspectives
including the action research paradigm, from the co-operative group process perspective and
from special education's multidisciplinary team approach. The competitive advantages of the
process which seem particularly applicable to inter-institutional collaborative partnerships in
curriculum and practicum design, and teacher education include increased sharing of material
and human resources across professional disciplines, facilitation of liaison activities among
institutions, and cost effectiveness; the generation of unique solutions and better
decision-making that results from the pooling and recombination of resources. The regional and global
competition will inevitably be faced by universities in Indonesia, both public and private. The
condition of higher education (PT) in Indonesia is currently facing competition not only local,
but also regional and global competition.
However, inter-institutional collaborative partnerships, by definition alternative approaches to
solving educational problems or improving educational practice, have an element of
innovation. The central focus of this collaboration between these universities is on
9 help to foster happier and healthier. These multi-level and multi-cultural initiatives accentuate
important core issues related to the field of industrial development practicum. These include
leadership growth and development, enhancement and capacity building, partnership,
collaboration, empowerment and sustainability in an array of sectors.
Competencies and General goals required for practicum
Polytechnic students undergoing practicum may be placed in settings in which they are
engaged in direct practice or indirect in industrial and developmental settings. In achieving
this mission, proactive measures need to be taken into consideration and a task force need to
be form. These include the application of the ethics on industrial and developmental practice;
the use of critical thinking to guide decision-making; the acceptance and understanding of
diversity in practice; the participation in the development of policies that impact on human
development.
The general goals of in industrial and developmental practicum at both universities is to
ensure equip future graduated who possess the knowledge, skill and value base for effecting
change at the local, national and global levels. A major emphasis is the development of the
ability in students to apply critical thinking skills in industrial sectors and to help them to
encourage citizen participation in addressing issues of economic and industrial development.
A further goal is the preparation of students for pursuing graduate level education; and to
improve the quality of their professional practice. Additionally, faculties from both
universities also develop effective cooperative and collaborative partnerships with industrial
factoring and government scenario.
Program Evaluation Procedures
Evaluation is essential for ongoing and are necessary to ensure effective collaborative effort.
The criterion on which an evaluation of a collaborative effort is based is needed from the
outset. Collaboration is a necessary part of contemporary industrial development, and the collaboration’s activities benefit the students through the provision of clear information being presented to the field instructors. Having joint orientations and field-related trainings enable
field instructors to gain information regarding the commonalities and distinctions between the
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